Admiral Samuel Paparo, commander of the U.S. Indo-Pacific Command (INDOPACOM), has publicly endorsed Bitcoin as a valuable computer science tool for national power and security.

During a FY2027 defense authorization hearing on April 21, 2026, Paparo told the Senate Armed Services Committee that Bitcoin’s underlying architecture—combining cryptography, blockchain, and proof-of-work protocols—offers significant strategic advantages. He emphasized that these protocols impose substantial costs not only on securing networks but also on offensive and defensive cyber operations.

“Bitcoin is a reality,” Paparo stated. “It’s a peer-to-peer, zero-trust transfer of value. Anything that supports all instruments of national power for the United States of America is to the good.”

He later added, “Bitcoin shows incredible potential as a computer science tool. It’s a valuable computer science tool as a power projection.”

“Bitcoin shows incredible potential as a computer science tool.”
— Admiral Samuel Paparo, INDOPACOM Commander

Sen. Tommy Tuberville (R-AL) pressed Paparo on whether Bitcoin leadership could provide the U.S. an edge against China in the Indo-Pacific region. The senator also highlighted recent Chinese research, noting that the Chinese Communist Party’s main monetary think tank published a report in 2025 examining Bitcoin as a strategic asset.

The report, titled “The Case for Bitcoin as a Reserve Asset”, suggested that Bitcoin is transitioning from a speculative instrument to a strategic reserve consideration—indicating Beijing’s growing interest in the cryptocurrency as a potential tool for economic and geopolitical leverage.

U.S. Strategic Bitcoin Reserve and Legislative Proposals

In response to China’s moves, the U.S. has taken steps to integrate Bitcoin into its national reserve strategy. President Trump signed an executive order on March 6, 2025, establishing the Strategic Bitcoin Reserve. The initiative includes Bitcoin seized through criminal and civil asset forfeiture, with the White House directing that government-held Bitcoin not be sold, treating it as a long-term reserve asset.

Crypto policy advisor David Sacks described the reserve as “a digital Fort Knox.”

Senators Tuberville and Cynthia Lummis (R-WY) introduced the BITCOIN Act in March 2025, proposing that the Treasury acquire one million BTC over time—mirroring the scale of U.S. gold reserves.

Bitcoin’s Role in Cybersecurity and Great-Power Competition

Paparo’s testimony underscores Bitcoin’s potential beyond financial speculation. He framed it as a computer science system with direct cybersecurity applications, aligning with arguments made by Space Force Major Jason Lowery, a national defense fellow at MIT. Lowery has long argued that Bitcoin’s proof-of-work mechanism can deter cyberattacks by imposing physical, energy-based costs on adversaries—similar to how conventional military assets deter physical aggression.

The hearing reflects a broader recognition in defense circles that Bitcoin’s technical infrastructure could play a role in great-power competition, particularly in the Indo-Pacific region where the U.S. and China are vying for technological and economic dominance.